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SUSTAINABILITY (Political (• The Paris Agreement on climate change, • …
SUSTAINABILITY
Political
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• Increased energy efficiency standards and regulation on vehicles, appliances, etc
• Land-use regulation in different geographies. Examples include incentives for climate-smart agriculture and afforestation, banning deforestation, etc
• Increased air quality and CO2 regulations for vehicles and power stations, with pollution becoming more regulated across the globe
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• An increased focus on climate risk management and adaptation actions, and stronger support for measures that create resilience to climate-related impacts.
• Power will move away from central sources into cities and communities, leading to a rise in city-level bans on unsustainable products such as coffee capsules, cars and packaging.
Technological
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• New approaches to innovation – responses to Paris are increasingly looking at new business models like the circular economy, which requires different relationships between economic actors
• Dematerialization – the rise of the decentralized service economy e.g. Airbnb, Uber
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• New materials and processes, with a trend towards less and recycled materials being used to manufacture new products e.g. Nike FlyKnit
• Smart cities, smart electricity grids, smart tech and greater interactivity between individual lifestyles and technology
• greater investment in new, low carbon technologies and business models – eg renewable energy, energy efficiency measures, electric vehicles
Economical
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• Greater investment in new low carbon technologies and business models – e.g. renewable energy, energy efficiency measures, electric vehicles etc
• Changing business models in power generation with implications for energy consumers as new technologies are deployed
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• Increased incentives for resource efficiency, recycling and increased costs for inefficiencies
• increasing cost of capital for high carbon infrastructure development or projects which do not address future climate impacts
Social
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• Increased interest from employees and job applicants in companies’ responses to climate change and other social and environmental issues
• Increased connections and links being made in society between lifestyle, wellbeing and health and low emissions and cleaner cities
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• Increased support and desire for clean technologies with innovative brands like Tesla able to capture market value from these trends
• Changes in consumer behavior and attitudes towards the sustainability credentials of products and services
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Money and quality first , ethic later
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• Ongoing and strengthened efforts to create links between climate change impacts and the need to deliver climate action.
Environmental
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• Global water stress is fast becoming a major economic, political and social issue, and a supply chain risk to which companies are responding with a range of initiatives and innovations.
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